Drought relief plan announced

The French government has introduced a drought relief plan for 2026, which includes reducing property tax on unbuilt land (TFPNB) for farms most affected by drought. This measure is part of the Casi plan and aims to directly support farmers financially.

Tax reduction passed to tenants

According to Annie Genevard, the tax reduction is given to property owners, but they must pass it on to their tenants as required by article L411-24 al. 2 of the rural code. This ensures that the benefit reaches the farmers who rent the land.

Rent calls to be adjusted

Farmers are expected to receive adjusted rent calls this autumn or winter. These will include a 3.23 percent increase, but the drought-related tax reduction will be deducted. If landlords fail to pass on the reduction, farmers can deduct the amount from their rent payments as stated in paragraph 3 of article L411-24 of the rural code.

How to calculate the tax reduction

To find out the exact amount of the property tax reduction on unbuilt land, farmers should consult the Departmental Directorate of Territories or their local town hall. Some departments have already set rates at 35% for arable land, 45% for pastures, and 50% for orchards, but these details will be available from mid-November 2026.

Refund required for early payments

If rent payments were made before the tax reduction was determined, landlords are required to refund the difference to the lessee. Annie Genevard warned that failing to do so would be considered a legal default, stating, "It is a crime."

Sharecropping has different rules

In cases of sharecropping, the tax reduction is divided between the landlord and the sharecropper based on the agreed-upon share of the harvest, as outlined in article L417-8 of the rural code. Farmers can refer to the tax doctrine BOI-IF-TFNB-50-10-20 paragraph 220 for more information.